- At press time, Polygon (MATIC) was trading at $1.09, up 8.93% in 24 hours.
- Gains Network DEX was initially released on Polygon before being deployed on Arbitrum.
- The Gains Network DEX has greatly contributed to the recent rising transactional activity on Polygon.
The price of Polygon (MATIC) has been steadily rising in recent weeks and it has regained the $1.0 level as the broader crypto market continues to recover.
In addition to Polygon just following the broader crypto market in the current bullish trend, there is an increased transaction activity on the network mainly because of the Decentralized exchange (DEX) Gains Network which was released on the network. The Gains Network DEX was later deployed on Arbitrum and its daily trading volume on Arbitrum has now crossed $230 million.
The Gains Network decentralized exchange
It is now barely a month since the Gains Network was deployed on the Arbitrum blockchain. The DEX allows crypto traders to trade various financial derivatives of various assets including crypto, US stocks, and indices using smart contracts. It also allows stakers to earn as much as 10% interest on their GNS tokens.
The DEX provides an opportunity for global traders who would otherwise not be able to trade US-listed instruments without relying on banks. The DEX has so far processed over $25 million in trading volume.
Earlier this week, the DEX started a trading contest with rewards totalling $100,000, which is likely the reason for the recent spike in trading volume.
Besides having a direct impact on the Polygon (MATIC) price, the increased activity on the Gains Network has also resulted in the GNS token price rising by more than 40% over the past week.